Rural Development Minister Jairam Ramesh has pitched
for a moratorium on new mining projects in the worst Naxal-affected regions and
particularly in areas recently recaptured from insurgents, saying it was
essential to quell the Maoist problem wreaking havoc across much of India's
hinterland. Tribal affairs minister Kishore Chandra Deo had earlier made this
suggestion. In comments certain to draw the ire of industry, parts of which
already view him as anti-development, Ramesh also said mining was part of the
problem, and called it one of the key issues contributing to the Maoist
stranglehold over mineral-rich forest areas.

"There should be a 10-year moratorium on new mining in the worst
Naxal-affected areas, particularly those areas which have recently been
liberated from Maoist control and where we need to re-establish the presence of
the state, improve governance and ensure that Maoists don't regain the
foothold," he told ET in an interview.

Ramesh said that mining as it has been and is being undertaken was
"neither ecologically sensitive nor socially inclusive". He said it
had aided Maoists gain control over large swathes of central India's tribal
belt, as he argued that it was essential to address issues arising from mining
activities if the state is to consolidate and re-establish its presence in the
Naxal-affected areas.

A moratorium on mining, Ramesh said, will buy the central and state governments
time to first provide the basics in tribal areas and then help equip the local
population to be able to participate in economic activities such as mining.

"What we need to do is build up the skill set of the local population,
improve governance, and train the local people so that they are in a better
position to participate in this economic activity," he explained.

"If you have a free for all for mining in these areas, given that our
track record in mining has been so disastrous, what you will have in the
initial years will be that all the jobs (skilled and semi-skilled) go to
outsiders and the menial jobs will be done by the locals."

Such a situation would over time breed resentment among the locals and end up
becoming a recruiting sergeant for the Naxal cause, he added. Limiting mining
activity would also help cut off a key funding source for the Maoists, whom
Ramesh described as being fuelled by "levy and not ideology".

"The moment you expand mining activities you will find a proliferation of
groups operating under the garb of Maoist ideology, but who are basically
extortionists," he said.

With his stance on mining, Ramesh is potentially placing himself once again in
the firing line of detractors who blame him for a lot of the country's present
economic problems.

In his previous job as environment minister, Ramesh pushed a policy demarcating
forests as 'go and no-go' areas for mining, a move that made him a lightning
rod of criticism both within and outside the government.

Other ministers and some in industry circles have blamed him and his policy for
raw material shortages and resultantly a sharp drop in economic growth rates.
(Economic Times)

COAL

Indian coal mining scam - CBI may register multiple
FIRs in coal scam

The CBI is likely
to register more than one FIRs in the alleged irregularities in allocation of
coal blocks after it came across several cases of violation of norms by state
government officials and allottees. CBI sources said that the agency has
already questioned senior bureaucrats who were overseeing allocation of coal
blocks during 2006-09. Meanwhile, the agency is also taking into cognisance the
Comptroller and Auditor General report on alleged coal block scam which was
tabled in Parliament on Friday.

The sources, however, made it clear that CBI would not be going into policy
issues but will limit its role to aspects where criminality could be
established.

The agency has also questioned members of screening committee including Secretaries
and Joint Secretary in the Ministry, CBI sources said.

They said the questioning of the Coal Secretaries, who also chair the screening
committee, was done to understand the issues involved in the allocation of coal
blocks during the period and so far agency has not found any irregularity on
their part.

They said that the agency has shortlisted nearly 15 companies which allegedly
violated norms of allotment of coal blocks and questioning of their officials
is going on.

The agency has registered the Preliminary Enquiry, which is the first step of
initiating the CBI probe, against unknown persons in connection with a
complaint referred to it by the Central Vigilance Commission.

Allocation of coal blocks is done through an inter-ministerial inter-governmental
body called the Screening Committee chaired by coal secretary.

It includes the secretaries of nine ministries having interests in coal,
besides heads of various PSUs, and chief secretaries of coal-supplying states.

(Steel guru)

GVK gets final green NOD
for Australian coal project

In a major relief to
India's GVK group and Australia's Hancock Prospecting, the Australian federal
government on Thursday granted final environmental approvals to the GVK-Hancock
joint venture's A$10b Alpha coal and rail project in Queensland state.